💰 Why ROI is Higher on Renovated Units

1. Demand for “Move-in Ready” Properties

• Many end-users and investors in Dubai prefer properties that are modern, fully upgraded, and require no additional work.

• Renovated units command higher resale prices and faster sales compared to dated units.

2. Rental Premiums

• Renovated units can justify higher rental rates—especially in sought-after communities like Palm Jumeirah, Jumeirah Golf Estates, and Emirates Hills.

• Tenants are willing to pay more for high-end finishes, modern kitchens/bathrooms, and energy-efficient upgrades.

3. Better Positioning in a Competitive Market

• With many older properties on the secondary market, renovated homes stand out, attracting premium buyers and renters.

• Aesthetic and functional upgrades (like open-plan layouts, smart home features) cater to international tastes.

4. Faster Turnaround Time

• Renovated units are often rented or sold quicker, reducing vacancy periods and holding costs.

• For investors, this means higher occupancy rates and faster ROI realization.

5. Capital Appreciation Boost

• Renovations not only increase immediate income potential but also enhance long-term asset value.

• Well-executed renovations in prime areas often lead to above-average capital gains when the market appreciates.

6. Favorable Buyer Financing Conditions

• Banks often appraise renovated units higher, leading to better mortgage terms for buyers—making them more attractive.

7. Government Support for Quality Standards

• Dubai’s focus on quality infrastructure and regulated communities means that high-spec, renovated units align better with Dubai Land Department (DLD) expectations and can benefit from green building incentives or certifications.

🔧 Granville Global Insight:

We’ve seen renovated villas in communities like JGE, Emirates Living and Dubai Hills appreciate between AED 2.5M to 5M in value post-renovation — and rental yields often jump by over 5% on average.